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GBP/USD Eyes Key Demand Zone: Potential for Retracement AheadThe GBP/USD currency pair has approached a notable demand zone, which appears particularly intriguing on the future 6B1 chart. This area could present significant opportunities that may become even more evident in subsequent trading sessions. Currently, the price of the GBP/USD pair is exhibiting signs of being overbought. This condition is largely influenced by retail traders who are driving the price upward aggressively. Such market dynamics often precede a potential pullback as the buying momentum may not be sustainable over the long term. Given these conditions, we are anticipating a retracement of the British Pound in the near future. This expected downward movement would align with the typical market behavior following an overbought state, where prices correct themselves after a significant upward surge. Traders should monitor this development closely, as it could offer valuable entry points for those looking to capitalize on the impending adjustments in price. GBP Futures ( Weekly Chart ) ✅ Please share your thoughts about GBP/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
3
NZD/USD: Bearish Continuation Confirmed After Key USD DataIn line with our previous analysis, NZD/USD triggered our sell limit order last Friday, signaling a potential bearish move after the release of key U.S. economic data. Initially, the U.S. dollar weakened following the ADP Non-Farm Employment Change and Unemployment Claims reports, which delivered softer-than-expected results, raising concerns about the strength of the U.S. labor market. However, the dollar quickly regained its footing due to positive outcomes from the Final Services PMI, ISM Services PMI, and Crude Oil Inventories, all of which reinforced confidence in the U.S. economy. As a result, the New Zealand dollar, like other major currencies, began a reversal, continuing its bearish trend against the strengthening USD. The recovery in the U.S. dollar has put downward pressure on NZD, confirming our expectations of a bearish continuation for the pair. The Commitment of Traders (COT) report remains consistent with our earlier forecasts. Institutional players are still favoring a bearish outlook on the NZD, while retail traders are likely still holding onto bullish positions, creating a divergence that suggests more downside potential for NZD/USD. With these factors in mind, we are confident in our bearish stance and expect the pair to reach our take profit target in the coming days. Technically, the price action supports our forecast, with the NZD/USD pair failing to break key resistance levels and continuing to trade within a bearish channel. The reversal we anticipated has materialized, and the pair appears poised to continue its downward movement as the U.S. dollar remains strong in the wake of positive economic data. In conclusion, our analysis points to further downside for NZD/USD this week, and we remain focused on reaching our take profit target. With both fundamental and technical factors aligned, the outlook for the pair remains bearish, and traders should be prepared for continued weakness in the New Zealand dollar as the U.S. dollar continues to recover. ✅ Please share your thoughts about NZD/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
EUR/USD: Bearish Bias Amid Dollar Strength and ECB Rate Cut Ex..EUR/USD: Bearish Bias Amid Dollar Strength and ECB Rate Cut Expectations Last Friday, the EUR/USD pair attempted to recover some of its losses from the previous week, following an initial decline in the US Dollar. The greenback weakened after the release of the ADP Non-Farm Employment Change and Unemployment Claims, which delivered less-than-encouraging economic signals. However, the dollar quickly regained ground thanks to positive results from the Final Services PMI, ISM Services PMI, and Crude Oil Inventories, all of which helped to boost investor confidence in the US economy. Despite this brief rebound in EUR/USD, the pair's upside potential seems limited. Recent inflation data from the eurozone has heightened market expectations that the European Central Bank (ECB) will implement a rate cut at its upcoming policy meeting on Thursday. This looming policy shift has created a bearish outlook for the euro, as lower interest rates typically reduce the attractiveness of a currency in global markets. From a technical perspective, our bearish stance on EUR/USD remains unchanged. Over the past two weeks, the pair has struggled to maintain its rally after hitting a major supply area, which has now turned into a formidable resistance zone. Adding further to this bearish sentiment is the Commitment of Traders (COT) report, which reveals that retail traders are predominantly bullish on the euro, while institutional players, often referred to as "smart money," maintain a bearish position. This divergence suggests that the euro's recent attempts to rally may lack the institutional support needed for sustained upward momentum. Seasonality also favors a bearish trend for the euro at this time of the year. Historical data shows that the EUR/USD pair tends to weaken during this period, aligning with our current forecast. The combination of technical resistance, COT positioning, and seasonal trends points to further downside risks for the euro. On the chart, I have highlighted a key demand area where the price could potentially drop. This zone may act as a magnet, pulling the pair lower before triggering a possible retracement. If the price reaches this level, we may see a short-term bounce, but the overall bias remains bearish unless there is a significant shift in fundamentals or technical indicators. In conclusion, the EUR/USD pair faces several headwinds, including dollar strength, expectations of an ECB rate cut, and bearish technical and seasonal factors. Traders should remain cautious as the pair approaches key demand levels, and any short-term rallies may be limited by broader market forces. ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
USD/CHF: Navigating Demand Zones and Market SentimentLast Friday, USD/CHF dropped to a daily low of 0.8375 before rebounding in Monday’s European session, with the current price around 0.84585 as I write this article. The initial decline in the US Dollar came after the release of the ADP Non-Farm Employment Change and Unemployment Claims, which provided less-than-positive signals. However, the dollar regained strength following encouraging results from the Final Services PMI, ISM Services PMI, and Crude Oil Inventories, all of which had a positive impact. From a technical perspective, the analysis remains consistent with last week’s outlook, where we see a potential USD rebound against CHF, as the pair continues to trade within a strong demand zone, with retail traders heavily shorting. Looking at seasonality over the past 10 years, there is a historical tendency for an increase in value for this pair around this time. However, given the pre-election period in the US and shifting economic factors, extra caution is advised during this phase. ✅ Please share your thoughts about USD/CAD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
6
EUR/USD Reversal After Strong US Data: Bearish Momentum Ahead?After yesterday's pullback, the EUR/USD pair has formed a rejection candle on the daily chart after touching the 1.1112 mark. The pair's gains against the USD were quickly reversed, as surprisingly strong US ISM Services Purchasing Managers Index (PMI) data for August offered significant support to the US Dollar (USD). The US Dollar Index (DXY), which measures the Greenback’s value against six major currencies, has recovered most of its intraday losses after finding buying interest near the day's low around the 101.00 level. From a technical perspective, we have already closed 50% of our position after the price bounced back from a key supply area. The Commitment of Traders (COT) report shows a high level of retail traders accumulating long positions in EUR/USD, marking the highest accumulation since the last significant price peak in December. This accumulation hints at potential exhaustion of the bullish sentiment among retail traders, which may lead to further bearish pressure. The ISM Services PMI report revealed that activity in the US services sector expanded slightly more than anticipated, with a reading of 51.5, compared to July's 51.4. Economists had projected a modest slowdown to 51.1, but the unexpected uptick in service activity adds another layer of support for the USD. This strong economic performance suggests that the US economy remains resilient, increasing the chances of sustained strength in the USD. Given this scenario, we anticipate a continuation of bearish pressure on the EUR/USD and other currency pairs against the USD. With retail traders heavily positioned long and the fundamentals favoring the USD, the market may continue to see the US Dollar strengthen in the coming days, offering potential opportunities for those seeking to short the EUR/USD or other USD pairs. ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
3
NZD/USD: Traders Eye Short Setup After Key ReboundThe NZD/USD pair saw a strong recovery from its intraday low of 0.6170 during Wednesday’s New York session. The New Zealand Dollar (NZD) regained some ground as the US Dollar (USD) struggled to maintain its upward momentum, having recently corrected from a fresh two-week high. Investors are now eagerly awaiting the release of the US Nonfarm Payrolls (NFP) report, the highlight of a data-heavy week for the US economy. From a technical standpoint, the price had already rebounded from a key Supply area, and after today's short recovery, traders may find an opportunity for a potential short setup. This pullback could be seen as a chance to enter the market by setting a Sell Limit order or entering directly to take advantage of the correction. The Commitment of Traders (COT) report reveals that retail traders are increasingly aggressive on the long side, while Smart Money appears to be reducing its positions, signaling a possible bearish trend. Additionally, seasonality data further hints at the potential for a bearish move in the near future. With several factors aligning, traders may be preparing for a potential downside in the NZD/USD pair, making this pullback an attractive opportunity for short positions. ✅ Please share your thoughts about NZD/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
Is the EUR/USD Recovery a Pullback Before a Bearish Move?The EUR/USD pair rebounded following the release of the weaker-than-expected US JOLTS Job Openings data, prompting questions about whether this is a potential opportunity to enter short positions. After an initial rebound from the Supply area, the EUR/USD pair recovered some ground on Wednesday, likely driven by the US labor data. However, this recovery could present a pullback, offering investors a chance to add to their positions in anticipation of a possible bearish scenario. Investors are now eagerly awaiting the US Nonfarm Payrolls (NFP) data for August, scheduled for release on Friday. This official labor market data will be critical in shaping the Federal Reserve’s (Fed) path for interest rate cuts in September. While many investors believe that the Fed will begin reducing its key borrowing rates this month, there is still uncertainty regarding the size of the potential rate cut. From a Commitment of Traders (COT) perspective, we can observe that retail traders are heavily positioned on the long side of the EUR/USD, which often serves as a contrarian indicator. Additionally, seasonality data points to a likely drop in the EUR in the near term. Given this COT scenario and the broader market sentiment, we are maintaining our bearish outlook on the EUR/USD and see this pullback as an opportunity to consider short positions. With key data releases on the horizon, such as the NFP, traders should remain cautious but be prepared for further downside in the EUR/USD pair as market conditions evolve. ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
5
USD/CHF Dips Amid Caution, but Bullish Long-Term Outlook RemainsThe USD/CHF pair has lost some ground as traders proceed with caution following the release of key economic data from the United States, particularly the JOLTS Job Openings report. After initially reacting to a well-established Demand Area over the past few days, the USD/CHF price began to recover slightly, reflecting market uncertainty and a lack of momentum. However, despite the short-term pullback, our long-term outlook for the pair remains unchanged. From a fundamental perspective, the Commitment of Traders (COT) report reveals an interesting divergence: retail traders are heavily short in this demand zone, while large speculators continue to maintain long positions. This contrast suggests that the smart money sees value in the current price level, supporting the potential for an upward move. Additionally, seasonality patterns point to the start of a potential bullish trend for the USD/CHF pair. Historically, this time of year has seen upward pressure on the US Dollar, which could further support a continuation of the recovery. In conclusion, while short-term fluctuations may cause some hesitation, the broader market signals—retailers positioned short, large speculators holding long positions, and favorable seasonality—suggest that the USD/CHF pair may be gearing up for a bullish move in the coming weeks. Traders should remain vigilant and watch for opportunities to enter long positions as the market stabilizes. ✅ Please share your thoughts about USD/CHF in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
5
DXY - US Dollar Strengthens Above 101.70 Market AnalysisThe US Dollar Index (DXY) is showing renewed strength, climbing above the 101.70 mark after a relatively flat Monday. This move extends the momentum from last week, where the DXY gained over 1%. As the market braces for key labor data later this week, all eyes are on the August jobs report, set to be released on Friday. This report is expected to reveal a solid increase in Nonfarm Payrolls (NFP), which could provide further support to the US Dollar. Technical Analysis: Reversal from Key Demand Area From a technical standpoint, the DXY has already exhibited a significant reversal from a key Demand area around 100.535. As forecasted, the price rebounded from the 100.515 level, confirming the strength of this support zone. This reversal was anticipated based on previous analysis, and it has played out as expected, setting the stage for the current bullish momentum. Sentiment and Seasonal Trends Support a Bullish Outlook The Commitments of Traders (COT) report adds an interesting layer to the analysis, showing that retail traders are aggressively short on the US Dollar. This aggressive short positioning often acts as a contrarian indicator, suggesting that there might be further upside potential for the DXY. Additionally, seasonal trends are aligning with a possible bullish rally in the US Dollar. Historically, this period has seen increased demand for the USD, and the current setup appears to be following that pattern. When combining the COT data with the technical bounce from the Demand area, the outlook for the US Dollar remains positive. Conclusion: A Confluence of Factors Supporting USD Strength The DXY's move above 101.70 is supported by a confluence of technical and sentiment factors. The reversal from the Demand area, coupled with the contrarian signal from the COT report and favorable seasonality, all point towards a continued increase in the value of the US Dollar. As the market awaits the crucial NFP report on Friday, the stage is set for potential further gains in the DXY, reinforcing our bullish outlook for the US Dollar. Previous Forecast ✅ Please share your thoughts about USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
TVC:DXYLong
by FOREXN1
1
USD/CHF Recovery Gains Momentum on Robust US Growth DataThe USD/CHF pair continued its recovery on Monday, trading around the 0.8517 level. This uptick in the pair is largely driven by a stronger US Dollar (USD), which gained momentum following stronger-than-expected US economic growth data. The recent Gross Domestic Product (GDP) report revealed that the US economy expanded more rapidly than anticipated in the second quarter, reducing market expectations for a larger 50 basis points (bps) rate cut by the Federal Reserve (Fed) in September. According to the second estimate released by the Bureau of Economic Analysis (BEA) last Thursday, the US GDP grew at an annualized rate of 3.0% in Q2, up from the initial estimate of 2.8%. Additionally, US Initial Jobless Claims fell to 231,000 for the week ending August 24, slightly below the projected 232,000, further supporting the Greenback. From a technical perspective, the USD saw a significant rebound after touching our identified Demand area, where the price swiftly reversed direction. This area has proven to be a strong support level, reinforcing the bullish momentum. Moreover, the latest Commitment of Traders (COT) report highlights a marked bearish sentiment among retail traders, which, when combined with the Demand area, signals a potential continuation of the long setup. In summary, the combination of robust US economic data, a resilient Demand area, and the bearish positioning of retail traders suggests that the USD/CHF pair may continue its upward trajectory in the near term. Traders should keep an eye on this setup as it could present further opportunities for long positions. PREVIOUS FORECAST ✅ Please share your thoughts about USD/CHF in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
1
EUR/USD Rebounds in Quiet Markets, But Bearish Outlook PrevailsThe EUR/USD pair experienced a modest recovery on Monday, with the price currently hovering around the 1.1068 mark as I write this article. This upward movement comes after the pair reversed within our designated Demand Area, highlighted by the red rectangle on our charts. However, this recovery is happening against the backdrop of limited market activity, as both the United States and Canada observe Labor Day, leading to a quiet trading session until the next Asian market opening. The US holiday means that the macroeconomic calendar will be relatively barren in the coming hours. However, the calm will be short-lived as the US is set to release several employment-related reports later this week, culminating in the highly anticipated Nonfarm Payrolls (NFP) report on Friday. Despite the slight recovery seen today, our outlook for the EUR/USD remains bearish. The US Dollar Index (DXY) is also regaining strength, signaling potential downward pressure on the Euro. From a technical perspective, the price has recently touched a Supply Area, which has been confirmed as a significant resistance zone. What is particularly telling is the behavior of different market participants: retail traders are increasingly taking long positions on the Euro, while smart money—larger institutional traders—are reducing their long exposure. This divergence between retail and institutional sentiment is often a strong indicator of an impending reversal. Moreover, this shift in sentiment is notable as it marks the highest point in 2024 where retail traders have gone long on the Euro. Such a scenario typically signals a potential short opportunity, as history often shows that retail traders tend to be on the wrong side of the market during such divergences. In summary, while the EUR/USD pair has shown some strength today due to the subdued trading environment brought on by Labor Day, the overall picture remains bearish. The combination of a strengthening DXY, confirmed technical resistance, and a significant divergence between retail and institutional traders suggests that a short position on the Euro may be the more prudent strategy moving forward. Previous Forecast ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
USD/JPY Rebounds from Key Demand Zone: Bullish Continuation AheaAs anticipated in our recent analysis of the USD/JPY pair, the price has indeed rebounded from our identified demand area, reaffirming our forecast. This price action is particularly significant when we examine the underlying market sentiment and the broader context in which this rebound is occurring. Market Sentiment and COT Report Insights A closer look at the Commitment of Traders (COT) report reveals an intriguing dynamic: retail traders, or "retailers," are overwhelmingly bearish on USD/JPY. This means that a large portion of non-commercial traders, who typically represent smaller, individual investors, are expecting the value of the USD to decline against the JPY. This sentiment is often driven by surface-level market movements or short-term news events that can sway less experienced traders. In stark contrast, the COT report shows that "smart money"—commercial traders and large institutions who are more informed and strategically positioned—are taking a bullish stance on USD/JPY. These market participants have deeper insights into economic indicators, global monetary policies, and macroeconomic trends. Their bullish positioning suggests a strong confidence in the U.S. Dollar's resilience against the Japanese Yen, at least in the near to medium term. Technical Analysis and Price Rebound From a technical perspective, the price rebound from our demand area was expected, and it aligns with the broader bullish trend we've been tracking. This demand area, identified through historical support levels and recent price action, represents a zone where buying interest is sufficiently strong to halt or reverse a downward movement in price. The rebound also reflects the broader economic environment, particularly the divergence in monetary policies between the United States and Japan. The U.S. Federal Reserve has been more aggressive in its approach to managing inflation through interest rate hikes, which generally supports a stronger dollar. On the other hand, the Bank of Japan has maintained a more accommodative stance, which tends to weaken the yen. This divergence creates a fundamental backdrop that supports the bullish outlook on USD/JPY. JPY FUTURES PREVIOUS ANALYSIS ✅ Please share your thoughts about USD/JPY in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
3
EUR/USD Drops from Supply Zone, Eyes 1.0900 Amid Inflation..Following our previous analysis of the EUR/USD pair, we observed that the price reacted strongly to our identified supply area, leading to a notable decline. Currently, the price is approaching our first take-profit target, and there is potential for further depreciation towards the 1.0900 level. This movement aligns with the positioning of retail traders, who remain bullish according to the latest Commitment of Traders (COT) report—a sentiment that often precedes a market reversal, as we've seen in this case. The economic backdrop further supports this bearish outlook. The recent Personal Consumption Expenditures (PCE) report indicated that core inflation on a year-over-year basis rose by 2.6%, which, while steady, was slightly below the forecasted 2.7%. On a month-to-month basis, inflation met expectations with a 0.2% increase, consistent with previous releases. Despite these figures, the market continues to anticipate that the Federal Reserve will begin reducing interest rates starting from the September meeting. However, the persistence of inflationary pressures has tempered expectations for a swift pivot towards policy normalization. Given these factors, we anticipate a continuation of the bearish trend in EUR/USD, with the possibility of the price moving lower in the coming sessions. PREVIOUS FORECAST ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
NZD/USD Approaches Resistance: Are Shorts the Next Move?The NZD/USD pair has reached a key supply area around 0.6168, which coincides with a significant resistance zone on the daily timeframe. This area has attracted attention due to the confluence of several technical and fundamental factors. According to the latest Commitment of Traders (COT) report, retail traders are increasingly taking long positions in the pair, while fund managers are moving in the opposite direction, positioning themselves short. Additionally, commercial traders, who typically represent larger institutional players, are beginning to reduce their long positions, suggesting a shift in market sentiment. This shift aligns with broader market indicators, including seasonality patterns and oscillator readings, which both support the case for a potential short setup. The seasonality analysis indicates a period of historical weakness for the NZD/USD pair, while oscillators suggest that the recent upward momentum may be losing steam. Given these factors, the supply area around 0.6168 presents a compelling opportunity for traders looking to capitalize on a potential downward move. The combination of technical resistance, COT positioning, and seasonal trends all point towards a possible short setup in the near term. As always, traders should monitor these levels closely and consider risk management strategies to navigate the evolving market conditions. ✅ Please share your thoughts about NZD/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
EUR/USD Soars to 2024 Highs as Fed Rate Cut Speculation GrowsThe EUR/USD pair extended its rally for the fourth consecutive day, reaching new 2024 highs around 1.1170. This surge has been fueled by continued weakness in the US Dollar (USD), which has been under pressure as market sentiment shifts. The US Dollar Index (DXY), a measure of the USD’s strength against a basket of major currencies, fell below the critical 101.00 level for the first time since December 2023. This decline was exacerbated by the release of the Federal Open Market Committee (FOMC) Minutes, which hinted at the possibility of an interest rate cut by the Federal Reserve (Fed) in September. From a technical perspective, the EUR/USD pair bypassed its first supply area without a significant rebound and is now approaching the second supply zone, a key area where a potential sell reversal is being closely monitored. The latest Commitment of Traders (COT) report reveals an interesting divergence: retail traders remain bullish on the pair, while commercial traders and large funds appear to be positioning themselves for a move in the opposite direction. The likelihood of a rate cut has been a focal point for traders. The CME Group’s FedWatch Tool currently shows nearly a 60% chance of a 25 basis point reduction at the Fed's September 18 meeting, a slight decrease from around 70% the previous day. Despite the FOMC Minutes supporting the possibility of lower rates as early as next month, Fed Governor Michelle Bowman urged caution, suggesting that rate reductions should be gradual if inflation aligns with the Fed’s 2% target. Her comments indicate a desire to avoid an overly restrictive monetary policy that could stifle economic growth. Should the Fed opt for more substantial rate cuts, the policy gap between the Fed and the European Central Bank (ECB) could narrow in the medium to long term. This convergence may further support the EUR/USD pair, particularly as market participants expect the ECB to implement two additional rate cuts this year. Such a scenario could provide additional upward momentum for the EUR/USD, pushing it even higher in the coming months.
Short
by FOREXN1
1
USD/CHF Stabilizes Near 0.8520 as Markets Eye FOMC MinutesDuring Wednesday's European session, the USD/CHF pair found a temporary support level near 0.8520, pausing its downward momentum after three consecutive days of losses. The Swiss Franc has managed to stabilize as the US Dollar (USD) regains some strength following its recent drop to a seven-month low. The market atmosphere remains calm as traders and investors shift their focus to the release of the Federal Open Market Committee (FOMC) minutes from the July meeting. These minutes are expected to provide key insights into the Federal Reserve's (Fed) thinking, particularly regarding the potential for interest rate cuts in the near future. From a technical standpoint, the USD/CHF pair has returned to a significant demand zone, where a trade position has already been established. The current price action suggests a potential pullback, hinting at a possible upward movement. Supporting this outlook, the latest Commitment of Traders (COT) report highlights a divergence in market sentiment: retail traders are predominantly bearish, while commercial traders, including large funds and money managers, appear to be increasing their positions, indicating a potential shift in market trends. As the week unfolds, market participants will be closely monitoring any new developments that could influence the Fed's monetary policy decisions, particularly regarding the possibility of interest rate cuts in September and by the end of the year. The Fed, having kept rates steady in July within the 5.25%-5.50% range, has left the door open for potential rate reductions, which could drive further market movements as more economic data emerges. ✅ Please share your thoughts about USDCHF in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
1
USD/CHF Stabilizes Near 0.8520 as Markets Eye FOMC MinutesDuring Wednesday's European session, the USD/CHF pair found a temporary support level near 0.8520, pausing its downward momentum after three consecutive days of losses. The Swiss Franc has managed to stabilize as the US Dollar (USD) regains some strength following its recent drop to a seven-month low. The market atmosphere remains calm as traders and investors shift their focus to the release of the Federal Open Market Committee (FOMC) minutes from the July meeting. These minutes are expected to provide key insights into the Federal Reserve's (Fed) thinking, particularly regarding the potential for interest rate cuts in the near future. From a technical standpoint, the USD/CHF pair has returned to a significant demand zone, where a trade position has already been established. The current price action suggests a potential pullback, hinting at a possible upward movement. Supporting this outlook, the latest Commitment of Traders (COT) report highlights a divergence in market sentiment: retail traders are predominantly bearish, while commercial traders, including large funds and money managers, appear to be increasing their positions, indicating a potential shift in market trends. As the week unfolds, market participants will be closely monitoring any new developments that could influence the Fed's monetary policy decisions, particularly regarding the possibility of interest rate cuts in September and by the end of the year. The Fed, having kept rates steady in July within the 5.25%-5.50% range, has left the door open for potential rate reductions, which could drive further market movements as more economic data emerges. ✅ Please share your thoughts about USDCHF in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
USD/JPY Pulls Back to 146.33 Amid Rising Yen and Fed Rate CutThe Japanese Yen is gaining ground against the US Dollar, with the USD/JPY pair pulling back to 146.33 as I write this. This upward movement is fueled by Japan's second-quarter Gross Domestic Product (GDP) growth, which exceeded expectations and bolstered the case for a potential near-term interest rate hike by the Bank of Japan (BoJ). Despite this, the USD/JPY pair has found support from a stronger US Dollar, buoyed by rising Treasury yields. From a technical standpoint, the price is currently retesting our identified Demand area, where we’ve already initiated a long position. Retail traders remain bearish, while commercial traders are starting to increase their positions. The recent US Consumer Price Index (CPI) data has sparked discussions about the scale of the Federal Reserve’s potential rate cut in September. The market is leaning towards a modest 25 basis point reduction, with a 60% probability, although a larger 50 basis point cut remains a possibility, with a 36% chance according to CME FedWatch. ✅ Please share your thoughts about USDJPY in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
8
Silver Rebounds at Key Demand Zone: A Bullish ImpulseSilver recently rebounded from a significant Demand area around $28.48, marking the start of what appears to be a new bullish impulse. This recovery comes at a crucial moment, as market participants closely monitor the movements of precious metals amid fluctuating economic indicators and shifting sentiment in the broader market. From a technical standpoint, the surge in Silver's price following this rebound is notable. The metal has managed to find strong support at this key level, suggesting that buyers are stepping in, possibly positioning for a sustained upward move. This aligns well with the latest Commitment of Traders (COT) report, which reveals interesting dynamics among the major players in the market. The COT report, which tracks the positions of commercial and non-commercial traders, indicates a favorable environment for further bullish momentum in Silver. Non-commercial traders, often seen as speculators, seem to be gradually increasing their long positions, reflecting a growing confidence in Silver's potential upside. Meanwhile, commercial traders, who typically use futures contracts to hedge their positions, may be signaling the underlying strength in Silver by reducing their short positions. Applying our Supply and Demand strategy, the recent price action further supports the case for a long continuation in Silver. The demand area around $28.48 has proven to be a robust support zone, and as Silver continues to build on this foundation, we anticipate the possibility of higher prices in the near term. The current market conditions, combined with the insights from the COT report, suggest that Silver may be poised for a strong rally. ✅ Please share your thoughts about SILVER in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
OANDA:XAGUSDLong
by FOREXN1
1
EUR/USD: Key Supply Zones to Watch for Potential ReversalsThe EUR/USD pair has extended its upward momentum, reaching new highs for 2024, currently hovering around 1.1077 as I write this. This surge is largely attributed to the persistent weakness in the US Dollar (USD), which has been on the back foot in recent sessions. Expectations around the upcoming Consumer Price Index (CPI) release have shifted market sentiment. While there was initial speculation of a half-point rate cut by the Federal Reserve next month, the chances of such a significant cut have diminished. Instead, a more modest rate reduction now seems more likely, especially in light of better-than-anticipated outcomes from other critical US economic indicators. Looking forward, the release of the Federal Open Market Committee (FOMC) Minutes is anticipated to be the key event this week. However, market participants will also keep a close eye on Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium and the testimony of Bank of Japan (BoJ) Governor Kazuo Ueda before Parliament. These events could offer further insights into the future direction of monetary policies, influencing the USD and, by extension, the EUR/USD pair. From a technical perspective, the EUR/USD has approached a critical Supply area, where we observe a significant concentration of retail traders maintaining long positions, while commercial players have reduced their exposure. Given the current sideways market conditions, this Supply zone could be pivotal. A reversal may occur here, leading to a potential decline in the pair. However, if the price does not reverse at this level, the next key Supply area to watch would be around 1.1175. This level could become the next focal point for traders looking to identify potential turning points in the market. ✅ Please share your thoughts about EURUSD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
1
USD/SGD Approaches Key Demand Zone: Anticipating a ReboundUSD/SGD is steadily declining towards our identified Demand area around the 1.31128 level. At this juncture, we anticipate a potential price rebound that could present a promising opportunity for a long trade setup. Our analysis is rooted in a combination of Supply and Demand principles, which help us understand the underlying market forces, as well as a thorough review of the latest COT (Commitment of Traders) report, offering insights into the positioning of major market participants. By integrating these critical factors, we have strategically placed a Buy limit order, positioning ourselves to capitalize on a potential upward movement in the price from this key support zone. ✅ Please share your thoughts about USD/SGD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
1
EUR/USD Approaches Key Supply Area Amid U.S. CPI DataThe EUR/USD is nearing a significant supply area around 1.10500, with the pair currently showing signs of being overbought. The latest Commitments of Traders (COT) report highlights that retail traders are largely bullish on the pair, adding to the potential for a correction. The focus now shifts to the upcoming release of the Consumer Price Index (CPI) data for July by the U.S. Bureau of Labor Statistics, which is likely to play a crucial role in determining the pair's next move. Market expectations suggest that on a yearly basis, the CPI will rise by 2.9%, slightly down from the 3% recorded in June. The core CPI, which excludes the most volatile items, is anticipated to increase by 3.2% annually. On a monthly basis, both the headline CPI and core CPI are expected to rise by 0.2%. Should the monthly core CPI, a key indicator that removes base effects and volatile prices, exceed expectations, it could trigger an immediate recovery in the U.S. Dollar (USD). This would likely weigh on the EUR/USD, leading to a potential downward movement from the supply zone around 1.10500. Conversely, if the core CPI underperforms, failing to meet market estimates, the pair might push higher, potentially breaching the initial supply area. If EUR/USD manages to surpass the 1.10500 level, the next significant resistance lies around 1.12000. This area could act as another barrier for the Euro, where a rebound might occur. However, the current analysis suggests that a reversal at the first supply area is more probable, especially if the USD regains strength following the CPI data release. In conclusion, the upcoming CPI figures will be pivotal in shaping the EUR/USD's trajectory. Traders should closely monitor the data, as it could either reinforce the overbought conditions and lead to a correction, or propel the pair higher if the USD weakens further. ✅ Please share your thoughts about EUR/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Short
by FOREXN1
3
AUD/USD Reversal: Bullish MomentumThe AUD/USD pair has shown signs of recovery after dipping to the 0.63500 level, with the price currently rising around 0.6595. This rebound is partly fueled by the US Dollar (USD) facing challenges due to growing expectations of a potential interest rate cut by the Federal Reserve (Fed) in September. However, the pressure on the USD might ease as the likelihood of a 50-basis point rate cut at the Fed's September meeting diminishes. From our perspective, we anticipate that the AUD/USD will continue its upward trajectory, potentially reaching the Supply zone around 0.6700, with a possibility of extending higher to 0.6800. This target area is crucial for evaluating the next strategic move. The current market sentiment indicates that Smart Money is positioning itself long, while Retail traders are predominantly short. This imbalance suggests a potential increase in the value of the Australian Dollar (AUD) as the pair gains momentum. Given these factors, our focus is on monitoring the price action as it approaches these key levels. We expect that once the price reaches the 0.6700 to 0.6800 range, a potential setup may emerge, providing an opportunity to capitalize on the AUD's strengthening against the USD. This analysis aligns with the broader market dynamics, indicating that the AUD is poised for further gains in the near term. ✅ Please share your thoughts about AUD/USD in the comments section below and HIT LIKE if you appreciate my analysis. Don't forget to FOLLOW ME; you will help us a lot with this small contribution.
Long
by FOREXN1
3